The signings launch the EU Facility for Inclusive Growth and Job Creation, aiming to support business creation and financing for SME's

Egypt and the European Union signed on Tuesday two assistance programs worth €420 million intended to strengthen social safety nets and foster inclusiveness and sustainable economic development in the country.

EU High Representative and Vice-President Federica Mogherini, who signed the agreements in Cairo with Egyptian Minister for International Cooperation Sahar Nasr, said the programs aim to "create jobs for young people and support children attending school, including the most vulnerable."

"The priority for the European Union is working for the citizens of this region," she added.

The signing launches the EU Facility for Inclusive Growth and Job Creation, which aims to support reforms that improve the environment for business creation in Egypt and facilitate access to finance for small and medium-sized enterprises, according to a statement by the EU.

EU Commissioner for European Neighbourhood Policy and Enlargement Negotiations Johannes Hahn said that the programs underscore the EU's support for the people of Egypt and will contribute to the country's stability.

Mogherini and Nasr also signed a modification to an existing financing agreement implemented by the World Food Programme, which will allow the provision of school meals for 500,000 of the most vulnerable children attending state primary schools in poor governorates, starting in February 2017.